Strategy Acquires $110.2M Worth of Bitcoin Amid All-Time High near $112K

Latest Acquisition Update

Strategy Corporation, formerly MicroStrategy, has acquired a further $110.2 million worth of Bitcoin, reinforcing a strategy of consecutive Bitcoin purchases as prices near record levels.

Transaction Details

According to a Monday US Securities and Exchange (SEC) filing, Strategy purchased 1,045 Bitcoin (BTC) at an average price of approximately $105,426 per coin.

Through this acquisition, the company brought its total corporate Bitcoin holdings to 582,000 BTC, acquired at an average cost of around $70,086 per BTC, totaling approximately $40.8 billion.

Consistent Strategy

The purchase marks the ninth consecutive week of Bitcoin acquisition by Strategy. Co-founder Michael Saylor first hinted at the ongoing program on June 8.

Market Context

This announcement comes as Bitcoin (BTC) approaches its all-time high. As reported by CoinMarketCap, Bitcoin was trading around $107,640 at the time of writing, a slight decrease of 3.9% from the previous all-time high of ~$112,000 reported in May 2024.

Chart showing Bitcoin's price approaching an all-time high (Source: Strategy via SEC filing)
Source: Strategy via SEC filing

Financing Move

Following the Bitcoin purchase, Strategy announced a revised $1 billion stock offering. The offering involves issuing 11.76 million shares of 10.00% Series A Perpetual Stride Preferred Stock at $85 per share, aiming to raise approximately $979 million after expenses, to fund additional Bitcoin purchases and operational costs.

This latest offering provides non-cumulative dividends of 10%, structured to attract institutional investors seeking yield.

Broader Trend

Strategy’s persistent Bitcoin accumulation, which began in August 2020 with an initial $250 million purchase (acquiring 21,454 BTC), now holds approximately 2.75% of all Bitcoin supply in corporate hands. Its market capitalization has surged to $104.6 billion since starting its accumulation strategy.

The company’s success has spurred other corporations to adopt similar Bitcoin strategies. Notable examples include:

  • Metaplanet (Japan’s MicroStrategy): Announced plans to purchase $5.4 billion worth of Bitcoin, following a similar path.
  • The Blockchain Group (France): Accumulated 580 BTC, leading to a >225% stock price surge.
  • Norwegian Block Exchange (Norway): Announced intention to buy and hold Bitcoin, resulting in a ~138% stock increase.